Author : Janine Wong
Publisher :
ISBN 13 :
Total Pages : 207 pages
Book Rating : 4.:/5 (93 download)
Book Synopsis Management Perceptions, Industry Structure and Company Performance by : Janine Wong
Download or read book Management Perceptions, Industry Structure and Company Performance written by Janine Wong and published by . This book was released on 2011 with total page 207 pages. Available in PDF, EPUB and Kindle. Book excerpt: [Truncated abstract] Issues associated with competition, corporate strategic action and performance have been addressed from three general academic perspectives marketing, business policy and strategic management, and industrial organisation economics. Using the Structure-Conduct-Performance (SCP) paradigm from industrial organisation economics, Porter (1980) developed the five forces model to analyse industry structure which determined one of three generic strategies a company should choose from to create a sustainable defendable position and outperform competitors. Porter (1980) argues corporate response to structure as the critical variable in determining industry and company performance. Here, the unit of analysis is the industry and Porter (1980) implicitly assumes managers within an industry define and observe the same objective environment. In marketing, Hunt s (2010) resource advantage (R-A) theory of competition asserts that the resources of firms within an industry are heterogeneous and immobile and therefore, managers must make strategic choices and these choices influence firm performance. Resources include market and competitor intelligence and some firms will have a comparative advantage in information that yields marketplace positions of competitive advantage and thus, superior financial performance. The unit of analysis is the manager and the manager or the top management team is central to the evaluation of environmental conditions which form the basis of strategic action. Consequently, managers develop strategies on the basis of imperfect perception of information. This study investigated the degree of congruence of individual perceptions of structure, conduct and performance within a company and within an industry. It is also concerned with examining the degree of congruence between the objective reality and individual perceptions (i.e. subjective measures) of structure, conduct and performance. More importantly, what is the best predictor of company performance objective data as implied by Porter s (1980) five forces of competition model or individual perceptions of structure as implied by Hunt s R-A theory of competition?...